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Strategies & Market Trends : Canadian Options -- Ignore unavailable to you. Want to Upgrade?

To: notredame who wrote (849)	2/26/1998 7:38:00 PM
From: Porter Davis	Read Replies (1) \| Respond to of 1598

>numbers after the stock in brackets, what are they? The numbers are the implied volatility for (calls,puts). Volatility is the only variable in the formula for pricing options. A wise trader many years ago told me it was more important to have a feel for which way volatility was going than the underlying equity. For example, during the last several days, a very large buyer has been accumulating ABX July 25 calls (about 2500 so far, maybe that many again wanted), driving implied vol from 39 to 44 in the process. It's always more fun to be in place ahead of time to watch the parade go by than to have to run after it. Happy trading. Porter And hey!...how 'bout that Ballard?